Market pulling back sooner rather than later?

 
December 27, 2019
 
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Market Turning Point?
We didn't get much of a Santa Claus rally, and I don't expect that to change as we finish off the year.

Markets are beyond stretched at this point, with RSI hovering near 80 and nearly 90% of stocks trading above their 50-day moving average.

I haven't seen numbers like this in almost a decade!

Here's what expect to happen
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"I enjoyed your informative short video explaining the connection between the Fed's interest rates and the stock market. I kind of knew this, but, it's helpful to be reassured of my observations. Thank You for sharing your knowledge. God Bless"

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The Advance/Decline (A/D) Line is used by many traders to confirm the strength of a current trend and its likelihood of reversing. The indicator essentially shows if most stocks are participating in the direction of the market. If the markets are up, but the A/D line is sloping downwards (bearish divergence), it's usually a sign that the markets are losing their breadth and may be about to reverse direction. If the slope of the A/D line is up and the market is trending upward, then the market is said to be healthy.
 
 
 
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